Profitable Manhattan Licensed Preschool/Daycare

New York, NY
New York County

Asking Price: Annual Revenue:
$150,000 $850,000

Services: Children - Child Care, Education

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RE: Profitable Manhattan Licensed Preschool/Daycare Broker: dave nagar

Quick Facts

Asking Price: $150,000
Annual Revenue: $850,000
Net Profit: Not Disclosed
Cash Flow: $60,000
Total Debt: Not Disclosed
FF&E: Not Disclosed
Real Estate: Not Disclosed
Year Established: Not Disclosed
Employees: Not Disclosed
BBN Listing #: 715843943
Broker Reference #: Not Disclosed

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Business Overview:

This is a great turn-key opportunity to own a profitable business that provides daycare services to the most affluent community in all of Manhattan. The business is currently absentee operated due to owner’s job relocation to another state. The business is perfectly suited for an executive or someone with education background looking to own and manage a successful child care operation.

This is a well know preschool that has been established for nearly 4-years with a capacity for 36 children (6 weeks - 5 years) in a spacious state-of-the art facility. The owners have all the required licenses and the facility is in full compliance.

As an owner-operated daycare, the business has a potential of generating nearly $200,000 cash flow with over $1 Million in revenues. In 2016, the business generated annual revenues of over $850,000 with a $60,000 cash flow due to high management/staff compensation & bonuses, including healthcare benefits. No prior day care experience is required. The owner will train and help in getting the buyer all the required formalities.

Asking Price: $150,000 cash or $250,000 owner financing ($50,000 down, seller financing over 18 months with a secured note).

2016 Gross Revenue: $852,887 (currently at 80% capacity with absentee owner, 100% capacity gross would be $1,080,000 with owner operator).

Business Description: The preschool operates child centric programs that are designed with local families in mind. The preschool currently operates at 80% capacity without any advertising. Clients come exclusively by word of mouth, and they have amassed a very distinct and loyal following. The business is small and manageable yet due to the high end neighborhood has enormous earning potential for the right owner/operator looking to own a preschool. Other benefits include, super clean spacious facility, automated enrollment and management processes, top of the line curriculum, high-tech video system, etc.

Location: Located in Manhattan’s fastest growing neighborhood for families in NYC, building is within 1 block from every major subway line yet is on a quiet street.

Real Estate: Leased residential building, 4 separate full floor units each 800 square feet (3,200 square feet total). Current monthly rent is $16,200 (all inclusive) that is well below market rate for similar commercial space in the area. New owner has opportunity to buy building directly from landlord for $6M - $7M.

Lease: Landlord will provide a new lease directly for 3 – 5 year term with option to renew for additional 2 – 5 more years. Tenant pays only rent and electric, no other utilities or charges.

Employees: 7 full-time and 3 part-time, but business can easily run with just 6 full-time plus owner/operator. New owner can instantly reduce payroll by 50% by hiring less expensive teachers (current owner has employed very high paying teachers and a director that can be substituted by the new owner).

Facilities: 3 large 800sqf windowed classrooms on different floors, each licensed for 12 children daily, plus 800sqf multi-use play space and office on another floor.

Licensing: 36 children total daily, 12 on each floor. Licensed by DOH with 3 separate Group Family Daycare licenses.

Competition: The demand for daycare/preschool is huge in Manhattan. All other daycares in the neighborhood are cold and sterile institutional chains, which are drastically different from their intimate, nurturing, and warm facility. No other program like this exists in the neighborhood which is why the place continually draws in new clients who are not satisfied with their commercial other options.

Growth & Expansion: Tremendous room for growth by easily enrolling to 100% capacity (owner intentionally kept enrollment at 80% to allow for small class sizes for their own children). Also huge potential to utilize the top floor play space for public afterschool children, tutoring, mommy & me, birthday parties, PT/OT, weekend classes, camps, etc. Could also easily enroll infants which there is huge demand for and facility is already licensed for ages 6 weeks and older.

Support & Training: Seller will provide training and support via phone/email and on-site with current director (until May 2016) to help buyer be successful in continuing to build and maintain business.

Reason for Selling: Owner unexpectedly relocated out of state in Summer 2016 due to professional commitments, so for the last 6 months business has been absentee run and has been totally under utilized. Day to day operations are being overseen by a teacher/director.

This opportunity will not last long. If you have considered opening a preschool/daycare in Manhattan, this is a Golden Opportunity! Contact NOW Dave Nagar or email us.

NDA Requirement & Confidentiality: All interested prospects are required to complete the NDA along with providing valid ID verification prior to disclosure of information about the business.

To request more information regarding this listing, simply check the ADD TO REQUEST INFO BASKET button and when you are done searching and have made all your selections, simply click on the REQUEST INFO button at the bottom of the page.

Additional Details:

  • The property is owned.
  • The owner is not willing to train/assist the new owner.
  • This is not a homebased business opportunity.
  • This is not a franchise resale opportunity.

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